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Nursing home

In August 2012, a former nursing home operator was sentenced in federal court to 20 years for submitting claims totaling more than $41 million for "worthless services" to Medicare and Medicaid and for tax fraud. George D. Houser and his wife operated two nursing homes in Georgia and purported to provide residents with a safe, clean environment, nutritional meals, and appropriate medical care. It was alleged, however, that the residents at the facilities were subjected to poor sanitary conditions, food shortages, leaking roofs, mounds of uncollected garbage, humid conditions that facilitated the growth of mold and mildew, and staffing shortages. Prosecutors argued that, due to these conditions, all of the services rendered to residents were essentially of no value. Houser was alleged to have been aware of the conditions at the two facilities and to have diverted more than $8 million in Medicare and Medicaid funding for his own personal use.

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